Goldman Sachs: Talk of $100 Oil 'Premature'

LONDON (Dow Jones), Jan. 18, 2010

Talk of $100 a barrel oil prices is "premature" given the collapse in oil demand in developed economies, said Goldman Sachs' head of commodities research Monday.

Jeffrey Currie forecast global oil demand wouldn't return to pre-recession levels until the third quarter, and said there is little evidence that mature economies have recovered from recession.

While the price outlook for this year was "blase," upward price pressure could return in the coming years as underinvestment restricts supply growth, he said.

In 2011 and 2012, it "becomes a really tight market," Currie said at Goldman Sachs' Global Strategy Conference.

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